Car dealerships are closing en masse in Russia: dealers are suffering losses and leaving the market

About 200 showrooms closed in six months

The Russian car market continues to lose dealers. In the first half of 2025 alone, about 200 car dealerships closed in the country, according to Andrey Kamensky, Marketing Director of Avilon Group.

According to Kamensky, the main reason was the fall in business profitability - many companies could no longer maintain a high level of service and simply left the market. For comparison, about 450 dealerships ceased operations last year.

A significant driver of growth in the car market may be a possible further reduction in the key rate by another 3 - 4 percentage points. Otherwise, the trend towards leaving the market will continue, and we will see examples of the closure of not only small players, but also once large holdings.
Andrey Kamensky, Marketing Director of Avilon Group

The expert noted that the dealership business is undergoing a global transformation - automakers are more often focused on their own tasks of "capturing the market at any cost," ignoring the profitability of partners. As a result, all participants in the chain suffer - except for the end buyer, for whom the struggle is going on.

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